TCS Q2FY21 consolidated PAT at Rs. 7475 crore

TATA CONSULTANCY SERVICES LTD. has reported financial results for the period ended September 30, 2020.

Financial Results (Q2 FY20-21) - QoQ Comparison

The company has reported total income of Rs.41049 crores during the period ended September 30, 2020 as compared to Rs.38920 crores during the period ended June 30, 2020.

The company has posted net profit / (loss) of Rs.7475 crores for the period ended September 30, 2020 as against net profit / (loss) of Rs.7008 crores for the period ended June 30, 2020.

The company has reported EPS of Rs.19.93 for the period ended September 30, 2020 as compared to Rs.18.68 for the period ended June 30, 2020.

Financials	Q2 FY20-21	Q1 FY20-21	% Change
Total Income	₹ 41049 crs	₹ 38920 crs	5.47%
Net Profit	₹ 7475 crs	₹ 7008 crs	6.66%
EPS	₹ 19.93	₹ 18.68	6.69%

Financial Results (Q2 FY20-21) - YoY Comparison

The company has reported total income of Rs.41049 crores during the period ended September 30, 2020 as compared to Rs.40338 crores during the period ended September 30, 2019.

The company has posted net profit / (loss) of Rs.7475 crores for the period ended September 30, 2020 as against net profit / (loss) of Rs.8042 crores for the period ended September 30, 2019.

The company has reported EPS of Rs.19.93 for the period ended September 30, 2020 as compared to Rs.21.43 for the period ended September 30, 2019.

Financials	Q2 FY20-21	Q2 FY19-20	% Change
Total Income	₹ 41049 crs	₹ 40338 crs	1.76%
Net Profit	₹ 7475 crs	₹ 8042 crs	-7.05%
EPS	₹ 19.93	₹ 21.43	-7%

Financial Results (6 months ended FY 20-21) - YoY Comparison

The company has reported total income of Rs.79969 crores during the 6 months period ended September 30, 2020 as compared to Rs.80185 crores during the 6 months period ended September 30, 2019.

The company has posted net profit / (loss) of Rs.14483 crores for the 6 months period ended September 30, 2020 as against net profit / (loss) of Rs.16173 crores for the 6 months period ended September 30, 2019.

The company has reported EPS of Rs.38.60 for the 6 months period ended September 30, 2020 as compared to Rs.43.10 for the 6 months period ended September 30, 2019.

Financials	Half-Year Ended FY20-21	Half-Year Ended FY19-20	% Change
Total Income	₹ 79969 crs	₹ 80185 crs	-0.27%
Net Profit	₹ 14483 crs	₹ 16173 crs	-10.45%
EPS	₹ 38.60	₹43.10	-10.44%

Commenting on the Q2 performance, Rajesh Gopinathan, Chief Executive Officer and Managing Director, said: "Driving accelerated business value realization of our customers' digital investments has resulted in broad-based revenue growth. The strong order book, a very robust deal pipeline, and continued market share gains give us confidence for the future."

He added: "What we are witnessing right now is the start of the first phase of a multi-year technology transformation cycle. In the current phase, enterprises are building a cloud-based foundation that will serve as a resilient, secure and scalable digital core. In subsequent phases, we will see the native capabilities of these platforms being utilized to create innovative new business models and differentiated customer experiences. Our investments in building deep expertise on these platforms, in research and innovation and in industry-specific solutions leveraging our contextual knowledge, position us very strongly to benefit fully from this secular demand driver."

N Ganapathy Subramaniam, Chief Operating Officer & Executive Director, said: "Our all-round performance this quarter is a huge endorsement of the increased relevance of our services and solutions to our clients as they pivot from risk mitigation to long-term resilience powered by cloud, digital and simplification of working methods. Clients are partnering us to leverage our thought leadership in SBWS™, Vision 25 x 25™ and Location Independent Agile™ to build a resilient, adaptable and futureproof operating model."

He added: "Accessibility and Touchless are becoming important attributes for solution design, and our products and platforms continue to gain traction. Besides core systems transformation, our Quartz Blockchain Solution is the choice of a leading bank and a market infrastructure player for inter-bank lending, crypto assets and for enabling real-time settlements."

V Ramakrishnan, Chief Financial Officer, said: "We have always maintained that growth is the best margin lever, and that is very evident in our numbers this quarter. It is very gratifying to see every financial metric precisely where we would like it to be, with a stellar operating margin despite neutral currency, strong cash conversion, and lowest ever DSO. We continue to invest in our people and are doubling down on building newer capabilities to power the next leg of our growth and market share expansion."

Shares of TATA CONSULTANCY SERVICES LTD. was last trading in BSE at Rs.2737.4 as compared to the previous close of Rs. 2716.15. The total number of shares traded during the day was 277896 in over 19870 trades.

The stock hit an intraday high of Rs. 2769 and intraday low of 2703. The net turnover during the day was Rs. 758445543.

Source : Equity Bulls

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